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PRO Students Act

Introduced: June 25, 2019 Introduced by: Takano, Mark Democratic · California See on congress.gov
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 Everywhere this bill has been 2 steps
Introduced
In committee
Reported out
Passed House
Passed Senate
To President
Became law
Jun 25, 2019
Referred to the House Committee on Education and Labor.
Jun 25, 2019
Introduced in House
 Plain-English summary Congressional Research Service

Protections and Regulation for Our Students Act or the PRO Students Act

This bill increases oversight of postsecondary educational institutions and provides consumer protections for students.

Proprietary (i.e., for-profit) institutions of higher education (IHEs) must derive at least 15% of their revenue from non-federal sources or risk becoming ineligible for federal educational assistance funds.

Postsecondary educational institutions must meet certain requirements regarding entrance counseling for first-time borrowers, disclosure of clinical training agreement terms, disclosure of a mandatory program review, and preparation of students upon successful program completion. The bill prohibits such institutions from using revenues derived from federal educational assistance funds for recruiting or marketing activities.

The bill revises requirements governing IHEs that receive federal educational assistance funds, including to broaden the ban on institutions compensating employees based on their successes in securing either enrollments or student aid awards, prohibit predispute arbitration agreements in student loan contracts that waive the rights available to borrowers, and increase protections for whistleblowers who disclose institutional violations.

The Department of Education (ED) must (1) establish a complaint tracking system, (2) conduct mandatory program reviews of institutions that pose a significant risk of failing to comply with certain requirements, and (3) recalculate the cohort default rate for institutions that engage in default manipulation and redetermine their eligibility for federal educational assistance funds.

The bill expands the defenses that a borrower may assert for not repaying a student loan. ED may impose civil penalties on IHEs that engage in substantial misrepresentation or other serious violations.

What's happening now June 25, 2019

Referred to the House Committee on Education and Labor.

 Committees of jurisdiction 1
 Cosponsors 4
All 4 Democratic 4